Topic: Build a Bank Of Bitcoin - page 20. (Read 26506 times)

"Banks will surely operate the same scenario like regulated fiat banks", I don't agree with this point, bitcoin is not something that can be easily controlled by regulations and law while cash exists because of those two.
The incoming banks for bitcoin themselves (if it's going to be realised) will automatically adapt to bitcoin and that bitcoin which they could control is what they have in their storage and it depends on the users who just moved their bitcoin to the banks.
It's right that the bank will be able to freeze or hold some accounts that are being suspicious and probably break their regulation upon user agreements as usually been asked in the first place, but the rest which outside of their coverage, I don't think so.

Yeah right, I agree the existence of bitcoin because it avoids the complicated system of the bank. the existence of the bitcoin should be a distinguishing feature of the financial system, and I think the bitcoin system is already good and no need for bank.

It's a no, I won't risk my bitcoins to a bitcoin bank that you are thinking and imitating traditional bank. Our online wallets / offline wallets are good to be considered as bank already. And I don't have to get some interest already because when the price is increasing I'm considering that already as interest and profit by I think there is a site like this, if I'm not mistaken that is haobtc.

Well any way the bank will do it, it will still be called an altcoin for us. That is just the way it is. Bitcoin will be the best one and they are still just going to mimic it. I dont say it is not good but if for them it can hasten the transaction they are doing then why not.
I woud still prefer bitcoin than it. Maybe I will have a bank account but will never invest to the ome they will create. Problem is if they force their users.

already widely implemented with bitcoin bank system, but the rejection of its own in bitcoin by implementing blockchain system. the appearance of bitcoin itself is the beginning of the rejection of the bank system. but many people are forced banks in bitcoin system in order to be accepted kalayak common, and many altcoin that implements the bank system in cryptoccurency .

Banks will surely operate the same scenario like regulated fiat banks and I don't see there is a difference anymore which we are looking. If bitcoin is controlled by the government it could only be incorporated with current banking system and no way it is be more dominant than fiat.

It will only be use as payment system to increase the speed of transactions and when we are willing top adopt, we will have to surrender the benefits we are enjoying with the current no banking system which is we are only relying with exchange sites. Our accounts then will be audited from time to time and the risk of our accounts to be freeze will likely to happen.

I agree as banks are built on a ponzi and we don't to see that happen with Bitcoin. Banks are greedy and just rip everyone off so I would like to see Bitcoin stay the way it is now because if there will be a Bitcoin bank I'm sure there would be a lot of greed going on and will be hard to trust as I don't trust banks now.

i don't think we need a bitcoin bank, we already have a lot of banks out there and if you say that you will pay more interest that those then i will say we have a lot of ponzi schemes too and by the way paying loans are alreay the risky part for anything hope you are talking about taking collaterals and giving loans or else you can not stand a day

I think Bitcoin bank can exist only online. There is no need to build a building in real life.
All the services of the bank can be done without leaving your computer

I think it is not what the creator wants he/she build it for the anonymity of everyone that uses it,
So if there would be a Bitcoin Bank anyone who are going to withdraw from it have to give their real personal information,
And also bitcoin is made to decentralization and privacy of its owner.

I am against any kind of bitcoin bank but if that becomes a reality, I don’t see the point of creating a physical bank out of something that is not physical, it would be easier to create an online bank and if they need to issue physical debit cards, they could send it all over the world no need to have branches all over the world.

but i think it will be useless, i am not in favour of bitcoin banks. i think it is just the wastage of money and people ill never like to go for such complicated procedure. i think the bitcoin wallet system is the best one.

I read your post (slowly) and didn't get a thing

Could you say it in fewer words what is your point? Anyway, banks can't loan bitcoins today because Bitcoin price is too volatile for this type of business (as it has been explained many times already). If the price surges, borrowers will be happy to default on their Bitcoin loans since they will likely have more than the collateral they pledged. Providing too much collateral (which is what you are certainly going to say) in meaningless since you could just sell part of this collateral and buy bitcoins directly at present prices. On the other hand, if Bitcoin drops, then banks will suffer direct losses since their loans will get devalued along with Bitcoin

I think bitcoin users would not be too trusting with third parties. as long as they can control their own bitcoin wallet
why they approach risk by storing in a third-party bitcoin (bitcoin bank)

Not everybody holds good amount of bitcoin in their wallet. Lot's of bitcoins are being taken away by 'bitcoin mining farms'. Just imagine if they are harvesting 70% of available bitcoins and keeping for themselves then who will come to your bank? Let's assume, you got a customer to your bank. Your bank will keep it in vault, for which you also have to pay little interest to your customer. Now to keep your bank running you will also spend that same bitcoin to other customers who are interested in taking loans from you. That's the simple way to know how bank works. Now considering this scenario, take in mind "TIME" when your customer deposited money in your bank which is 'X'. At X lets assume bitcoin value was $1000. After few time you passed the loan to your another customer at time 'Y' when bitcoin value was $1200. You will earn interest from this customer lets say 'd%'. Now your bank is having $1200 * d% in it's vault. Also, at the same time your depositing customer will take out the money as he know that bitcoin price has rose. So your bank virtually having nothing except $1200 * d%  And few days later you come to know the price of bitcoin is $ 1000 again. You will pretty much happy for this but your loan customer will not be. He will raise smart question that "Why I should pay interest over $1200 if today's price of bitcoin is $1000 (He would also want to be in profit). This will cause major confusion on to bank with Bitcoins ?

Bitcoin is not your fiat

In essence, banks can create fiat out of thin air (today they don't even need the deposits of their clients for that). With Bitcoin, it is impossible, so your whole premise is wrong. Bitcoin works outside the banking system, you can transact coins directly, which you can't do with fiat. Indeed, you can use cash, but how are you going to pay someone at the other end of the world? With fiat you have to use banks to do that (that's why they effectively control your money). With Bitcoin you don't need any banks for doing that and a lot other things as well. Hope this helps see the difference between regular and Bitcoin banks (if the latter should actually emerge)

And what is the difference between the real banks that control Fiat, and those that will control bitcoin? Then we will lose all the benefits bitcoin.

this is what i mean, one of the reason of why we need to build a Bitcoin Bank

Building a bitcoin bank is not a good idea .
As we all know that bitcoin is a Decentralised currency.
That is no third party is between trade of 2 people.
And the miners are doing a great job by controlling our transactions by solving a mathematical problem through their powerful systems.
So having blockchain wallet is I think enough because our bitcoins are managed property there.
So , I don't think that there is really a need of bitcoin banks.

I wonder at what income the bank will pay interest for the placement of the deposit? Conventional banks are taking a very large commission for the operation, and then pay them out of interest on deposits. And where will this money in the bank?